FOREST INVESTMENT TRUST VICTORIA / SOUTH AUSTRALIA FOREST ESTATE

Transcription

1 FOREST INVESTMENT TRUST VICTORIA / SOUTH AUSTRALIA FOREST ESTATE Regional Management Plan September 2016 to June 2021 PO Box 278 Hamilton VIC 3300 Australia 94 Thompson Street Hamilton VIC 3300 P: F: E: ausinfo@pfolsen.com

2 Table of Contents 1. Introduction Management Scope and Objectives Property and Assets Socio-economic profile and adjacent land Stakeholder engagement and social responsibility Indigenous Community Engagement The Regulatory Environment Environmental Policy and Practices Plantation Forest Estate Description Conservation areas and significant species Non-Timber Forest Products and Other Special Values Commercial Crop Establishment Silvicultural Operations Forest Inventory, Mapping and Forest Records Harvesting Strategy and Operations Property Management and Protection Monitoring Review and Future Plans...48 PF OLSEN (AUS) PTY LTD All rights reserved. All rights of copying, publication, storage, transmission and retrieval in whole or part by any means and for all purposes are reserved. September 2016 to June 2021 Introduction Page 2

3 Version No Reason for Review 1.0 Original Plan 1.1 Review following pre-assessment and initial HCV analysis. 1.2 Review following final HCV assessments and review of Defined Forest Area. 1.3 Inclusion of information on drinking water catchments. 1.4 Annual review inclusion of HCVF methodology and new areas. 1.5 Add in explanation of reversion rules. 2.0 Merge of Gippsland and Green Triangle Regions. Update of information and edit. Prepared by Neil Winkley Reviewed and recommended by David Bennett Authorised by Anthony Walsh Issue Date September 2016 Version No 2.0 September 2016 to June 2021 Introduction Page 3

4 1. Introduction Purpose The purpose of this management plan is to ensure that the unencumbered forest assets owned by the forest owner in Victoria are managed in the most consistent, efficient and sensitive manner through a greater understanding of the: environment silvicultural treatments legislative constraints. The purpose of this Management Plan is to: Describe the physical features of the FIT Victoria / South Australia Forest Estate. Clarify the management goals of the FIT Victoria / South Australia Forest Estate. Outline the scope and objectives of management. Outline the relevant constraints for forest management in this region. Provide a silvicultural prescription covering: Rationale for prescription Future operations Rationale for expected yields where appropriate. Implementing this Management Plan will ensure that the forest estate is sustainably managed to achieve the goals of the forest owner within the legislative framework of the region. Sustainable forest management PF Olsen Australia is committed to ensuring the implementation of best practice in sustainable forest management on behalf of the FIT Victoria / South Australia Forest Estate. All forests are managed in accordance with our Sustainable Forest Management System, which is designed to be compliant with the requirements of the internationally recognised standards of the Forest Stewardship Council 1 and the Australian Forestry Standard 2. 1 PF Olsen (Aus) Pty Ltd uses the FSC trademarks in accordance with the terms and conditions of its license from the Forest Stewardship Council. PF Olsen (Aus) Pty Ltd. s trademark license code is FSC-C All references in this document to internationally recognised standards of forest management are inclusive references to both the principles and criteria of Forest Stewardship Council and the Australian Forestry Standard. September 2016 to June 2021 Introduction Page 4

5 Forest Owner The forest and surrounding estate are owned by The Trust Company Australia Ltd as trustee for the Forest Investment Trust. Forest Manager The forest and surrounding estate is managed by PF Olsen (Aus) Pty Ltd (PF Olsen Australia) as agent for The Trust Company Australia Ltd as trustee for the Forest Investment Trust. 2. Management Scope and Objectives Environmental and economic services The forests provide a range of benefits, including: Enhanced water quality Soil stabilisation and conservation Improved aquatic habitat Enhanced wildlife and plant habitat leading to increased biodiversity A reduction in greenhouse gases Local and regional employment opportunities Other economic and social benefits to the community. Scope This management plan covers all forest management activities within Forest Estate. Such activities include: Forest establishment Silvicultural activities Forest protection Monitoring Infrastructure maintenance (including roads, bridges, buildings etc.) Harvesting Fire Management. September 2016 to June 2021 Management Scope and Objectives Page 5

6 Objectives The forest management objectives for the Forest Estate are to: Grow trees for the production of hardwood chip and other emerging market opportunities such as biomass, veneer and sawn timber Ensure that the productivity of the land does not decline Ensure that environmental values are identified and maintained Ensure that historic sites are identified and protected Ensure that other forest values and products are identified, protected and, where possible, enhanced Optimise the economic return to the forest owner Replant or ensure regeneration following harvesting in the core region where it is economically viable to replant or regenerate Avoid permanent damage to native vegetation. PF Olsen Australia is committed to ensuring that the management of the forest estate is sustainable, from an environmental, social, cultural and economic perspective. These objectives underpin the company s management culture and its commitment to independent third party forest certification, in particular conformance with the principles and criteria of the Forest Stewardship Council and the Australia Forestry Standard.Table 1 identifies some of the management involved with these perspectives. Table 1: Management aims related to listed perspectives Perspective Management Aims (not finite) Environmental Identification and protection of rare, threatened and endangered species and ecosystems; Control of noxious pests; Protection of waterways and reserves. Social Adherence to occupational health and safety standards; Adherence to international employment conventions as they have been legislated in Australian state and federal law; Cultural Identification and protection of historic and archaeological sites; Consultation with interested parties. Economic Suitable species selection; Appropriate management and harvesting techniques; Protection of assets; Providing a reasonable return on investment while minimising the risks of this investment. September 2016 to June 2021 Management Scope and Objectives Page 6

7 Implementation The forest management objectives described above are implemented by the Forest Manager, PF Olsen Australia. PF Olsen Australia applies recognised best forestry management practice within a quality management framework to plan for and deliver the required forest management objectives. The Quality management framework includes: The PF Olsen Australia forest management system, ensuring that the forest management planning is up to date and operations are scheduled and undertaken according to the plan. The PF Olsen Australia environmental management system, ensuring that high standards of environmental management are recognised and integrated into every facet of the forest planning and management. Certification of compliance with the principles and criteria of the Forest Stewardship Council and the Australia Forestry Standard to ensure management principles and practice adhere to internationally recognised and locally adopted standards for well managed forests. Forest Information Planning System PF Olsen Australia resources a Forest Information Planning System (FIPS) to assist in ensuring regulatory and certification compliance, including: transparent management accounting efficient data capture effective use of resource information. 3. Property and Assets Overview This section describes the physical and legal attributes of the land on which the forest is located. Included in this section are descriptions of: Location and access Infrastructure Geology and soils Topography Climate Legal ownership and tenure September 2016 to June 2021 Property and Assets Page 7

8 Sub-regions The Victorian / South Australian Forest management Unit is generally divided into three smaller sub-regions. The names of these sub-regions which will be used throughout this document are Gippsland, Green Triangle and Wattle Range. The geographic range of these sub regions is as follows: Gippsland- forests under management that are located in Victoria and east of Melbourne Green Triangle- forests under management that are located in Victoria and west of Melbourne Wattle Range- forests under management that are located in South Australia and on the Australian mainland (i.e. not Kangaroo Island). Location and access Gippsland forests are located in the local government areas of: Wellington Shire Council Baw Baw Shire Council South Gippsland Shire Council Latrobe Shire Council. There are no deep water ports east of Melbourne. The potential markets for these forests are Australian Paper and export through the Port of Geelong. Green Triangle forests are located in the local government areas of : Colac Otway Shire Council Corangimate Shire Council Glenelg Shire Council Moyne Shire Council Rural City of Ararat Southern Grampians Shire Council West Wimmera Shire Council. There are two deep water ports west of Melbourne which are suitable for exporting forests products from these forests. These are located at Geelong and Portland. September 2016 to June 2021 Property and Assets Page 8

9 Wattle Range forests are located in the local government areas of: Wattle Range Council Naracoorte/Lucindale Council District Council of Grant. The port of Portland is the most suitable Deep water port for exporting forest products from these forests. Maps on the PF Olsen Australia website show the physical location of properties. Each properties distance from the relevant port or domestic market is listed in each individual Property Management Plan. Infrastructure Infrastructure located on properties is detailed in the individual Property Management Plan. Plantations are serviced by a mix of state, shire and private roads. PF Olsen Australia liaises with individual shires when planning harvesting and haulage operations. For Green Triangle and Wattle Range forests PF Olsen Australia is a member of the Green Triangle Regional Plantation Committee and works with other members of the plantation industry and local governments to resolve issues relating to the use of roads by the plantation industry. Wood sold from the Wattle Range forests is also likely to use these roads. Geology and soils Soils vary throughout the estate. Details of the soils found on individual properties is included in the Property Management Plans. Where soils have particular issues such as high erositivity, this is also included in the Property Management Plan, and will be considered in operational planning. Gippsland Forests The soils associated with the upper terrain are both texture contrast soils (Chromosols and Sodosols) and gradational texture soils (Dermosols). The dunes are predominantly sandy soils (Podosols and Tenosols). The fertile floodplains and swamps are earths and pale yellow and grey texture contrast soils (Hydrosols) 3. 3 Gippsland Plain - Victorian Resources Online. Accessed 07/05/12 September 2016 to June 2021 Property and Assets Page 9

10 Green Triangle Forests On the Dundas Tablelands, soils are typically dermasols in the valleys. Chromosols, Sodosols and Vertosols are typical of the table lands 4. Soils on the Glenelg Plains are typically Podosols on the flats and Kurosols in the swales 5. The soils on the Otway Plains are typically Chromosols, Sodosols and Dermosols on the highlands, with Hydrosols typically found in the swaps and floodplains. Soils in the dune areas of the plain are predominately Podosols and Tenosols. 6 Wattle Range Forests The landscape consists of ranges that are classified as ancient stranded coastal dunes with interdunal plains between them. Their development related to receding sea levels from a period where most of the region was inundated by sea water. They span from north to south and run parallel to each other towards the current coast line 78 (Laut et. al 1977, Boardman 2001). Soils are typically Sodosols, Hydrosols and occasional Dermosols in the lower lying areas of the plains raising to Podosols and Ferrosols on the dune ranges 9. 4 Dundas Tablelands - Victorian Resources Online. Accessed 16/2/12 5 Glenelg Plain Victorian Resources Online. Accessed 16/2/12 6 Otway Plains Victorian Resources Online Accessed 16/2/12 7 Boardman, R. 2001, Report on Geology of the South East, ForestrySA. 8 Laut, P., Heyligers, P. C., Keig, G., Loffler, E., Margules, C., Scott, R. M., and Sullivan, M. E., 1977, Environments of South Australia Province 1 South East, CSIRO, Canberra. 9 Winkley, N., and Richardson, W., 2003, Green Triangle Forest Soil Profiles, ForestrySA Research Section, ForestrySA, Mount Gambier. September 2016 to June 2021 Property and Assets Page 10

11 Topography Gippsland Forests Topography can generally be divided into two sectors being the coastal plains and the Strzelecki Ranges. The coastal plains are generally flat with slight undulating hills. The Strzelecki Rages are steep, weathered hills up to 400 metres above sea level. Some areas are prone to landslip. Access plans will be developed prior to the construction of timber extraction roads. These plans will take into account topography, soils and other constraints. Where possible, roads will be located on ridges and away from gullies. Ground based log extraction methods will be utilised at harvesting. This will primarily be using cut-to-length harvesting systems for delivery either to Australian Paper at Maryvale or for export through Geelong as both of these facilities have static chippers. Green Triangle Forests Topography, generally comprises flat to rolling hills. Incised gullies may occur in some forests north of Hamilton. Towards the coast, swales are a common feature. Roading plans will be developed prior to the construction of roads taking into account topography, soils and other constraints. Where possible, roads will be located on ridges and away from gullies. Ground based log extraction methods will be utilised at harvesting: A combination of whole tree extraction and log extraction will be used. Where possible trees will be chipped in field to reduce the risks associated with log haulage. Wattle Range Forests The elevation of the estate lies between 30 and 60 metres above sea level. There is a general trend of decreasing elevation from south to north and also east to west. The topography is generally flat with a few swamps and wetlands. Few wetlands occur throughout the estate, but there are nearby wetlands surrounding the forest. A major drainage network passes through and surrounds the forest, with the major drains being the Baker Range Drain, Drain B, Drain C, Drain M, and the Reedy Creek Division C. Some of the more significant wetlands occur next to the drains. Most wetlands are seasonal with a few exceptions. Ground based log extraction methods will be utilised at harvesting: A combination of whole tree extraction and log extraction will be used. Where possible trees will be chipped in field to reduce the risks associated with log haulage. September 2016 to June 2021 Property and Assets Page 11

12 Rainfall (mm) Temperature ( o C) REGIONAL MANAGEMENT PLAN Climate Gippsland Forests Data gained from the Bureau of Meteorology shows the following long term climate data for Foster, Yarram, Sale and Bairnsdale weather stations, which are the most relevant stations for the FIT Gippsland Forest Estate Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Figure 1- Gippsland Average Daily Temperatures Foster Min Yarram Min Sale Min Bairnsdale Min Foster Max Yarram Max Sale Max Bairnsdale Max Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Figure 2- Gippsland Average Rainfall Foster Yarram Sale Bairnsdale September 2016 to June 2021 Property and Assets Page 12

13 Temperature ( C) REGIONAL MANAGEMENT PLAN Climate: Green Triangle Forests Data gained from the Bureau of Meteorology shows the following long term climate data for Casterton, Heywood and Colac weather stations, which are the most relevant stations for the Green Triangle. Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Casterton Max Casterton Min Heywood Max Heywood Min Colac Max Colac Min Figure 3- Green Triangle Average Daily Temperatures Casterton Heywood Colac 20 0 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Figure 4- Green Triangle Average Rainfall September 2016 to June 2021 Property and Assets Page 13

14 Temperature ( o C) REGIONAL MANAGEMENT PLAN Climate: 35 Wattle Range Forests Data gained from the Bureau of Meteorology shows the following long term climate data for Mount Gambier, Coonawarra and Naracoorte weather stations, which are the most relevant stations for the estate Mount Gambier - Max Coonwarra - Max Naracoorte - Max Mount Gambier - Min Coonwarra - Min Naracoorte - Min 0 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Figure 5- Wattle Range Average Daily Temperatures Mount Gambier Coonwarra Naracoorte 20 0 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Figure 6- Wattle Range Average Rainfall Legal ownership The legal description of the land owned by The Trust Company as trustee for the Forestry Investment Trust are identified in individual property management plans. PF Olsen Australia is contracted as agent to manage properties on behalf of The Trust Company. September 2016 to June 2021 Property and Assets Page 14

15 The ecological landscape Gippsland Forests This Gippsland region covers a number of IBRA 10 sub regions. In the south, the estate is in the Gippsland Plain. In the north, the estate falls onto the Strzelecki Ranges. The Gippsland Plain bioregion is sandwiched between the coast and the Strzelecki Ranges to the north. The Gippsland Plain has been extensively cleared for agriculture and plantation forestry. It contains a diverse range of vegetation communities including Coast Banksia Woodland, Damp Sands Herb Rich Woodland, Heathland, Wet Forest and in the east, Warm Temperate Rainforest. 11 Green Triangle Forests This Green Triangle Region covers a number of IBRA 12 sub regions. In the north, the estate is in the Dundas Tablelands and the Glenelg Plains. In the south, the estate falls onto the Warrnambool Plains and in the east, the estate falls onto the Otway Plains. The Dundas Tablelands are to the west and south of the Grampians. Steams in incised gullies are typical of these tablelands. The Dundas Tablelands have been extensively cleared for agriculture. Typical vegetation communities include Plains Grassy Woodland, Damp Sands Herb Rich Woodland, Grassy Woodlands and in the valleys, Creekland Grassy Woodlands. 13 Typical vegetation communities on the Glenelg Plains include Plains Grassy Woodlands on the flats and Damp Sands Herb Rich Woodlands, Heathy Woodland and Herb Rich Woody Heathland in the swales. 14 The Otway Plains are north of the Otway Ranges and south of the Victorian Volcanic Plains. Lowland Forest and Heathy Woodland would typically be found on the high lands with Grassy Woodland in the lower areas. 15 Continued on next page IBRA Interim Biogeographic Regionalisation for Australia. IBRA is the National Reserve System's planning framework, the fundamental tool for identifying land for conservation Gippsland Plain - Victorian Resources Online. Accessed 10/5/12 12 IBRA Interim Biogeographic Regionalisation for Australia. IBRA is the National Reserve System's planning framework, the fundamental tool for identifying land for conservation Dundas Tablelands - Victorian Resources Online. Accessed 16/2/12 14 Glenelg Plain Victorian Resources Online. Accessed 16/2/12 15 Otway Plains Victorian Resources Online Accessed 16/2/12 September 2016 to June 2021 Property and Assets Page 15

16 continued Wattle Range Forests The estate is within the Naracoorte Coastal Plain Bioregion, which includes the Callendale Environmental Association 16. This encompasses the Lucindale sub-region and the Glenelg Plain sub-region. The environmental association consists of consolidated dunes, plains, and minor areas of sand dunes and swamps. The dunes historically contained forest and woodland, with the plains containing wet woodland and extensive areas of wet heathland. Swamps are seasonal and are not well represented in the landscape due to historical grazing methods and an extensive drainage system that has been constructed throughout the district. 16 Laut, P., Heyligers, P. C., Keig, G., Loffler, E., Margules, C., Scott, R. M., and Sullivan, M. E., 1977, Environments of South Australia Province 1 South East, CSIRO, Canberra. September 2016 to June 2021 Property and Assets Page 16

17 4. Socio-economic profile and adjacent land REGIONAL MANAGEMENT PLAN Previous management Properties were purchased by Great Southern Plantations or Australian Plantation Timbers between 1998 and 2008 for the establishment of hardwood plantations under MIS schemes. Prior to purchase for plantation establishment, properties were used for a range of agricultural enterprises such as fat lamb production, wool production, beef production, dairying and cropping. Current social profile Gippsland Forests The main industries in the Gippsland region are agriculture, plantation forestry, native forest management, open-cut coal mining for electricity production and conservation. On the coastal plains, the main form of agriculture is wool, prime lamb and beef production. In the Strzelecki Ranges, beef production and dairy are the primary farming activities. Plantation forestry is a major industry in the region with HVP Plantations the predominant forest owner. In the Gippsland region there are approximately 35,000 hectares of hardwood plantations and 59,000 hectares of softwood plantations. HVP Plantations manages approximately 81,000 hectares (86%) of this resource. The majority of the plantation resource is located in the Wellington Shire. Major population centres in are Sale and the Latrobe Valley towns of Traralgon, Morwell and Moe. In the southern area is the towns of Yarram, Mirboo North and Yarragon are close to some properties. Green Triangle Forests The main industries in the Green Triangle are agriculture and forestry. Approximately 81% of the Glenelg Hopkins Basin has been cleared for agriculture (including plantation forestry). 17 In the north of the region, the main form of agriculture is cropping, transitioning through wool, prime lamb and beef production with dairying becoming more common in the higher rainfall regions in the south. Plantation forestry is a major industry in the region. In the Green Triangle area (including South Australia) there is approximately ha of hardwood plantation and a similar areas of softwood plantation. Continued on next page Glenelg Hopkins Land Use Victorian Resources Online Accessed 2/4/12. September 2016 to June 2021 Socio-economic profile and adjacent land Page 17

18 continued Mineral Sands mining is another industry in the region, with Iluka s mineral sand processing plant at Hamilton. In the Otway areas, tourism is a major industry with attractions such as the Great Ocean Road. Major population centres in the western area are Portland, Heywood, Casterton and Hamilton. For the Otway part of the region the major centres are Colac and Camperdown. Wattle Range Forests The main industries within the region are agriculture, forestry and fishing, manufacturing, building and construction, and retail trade. the largest employers include sheep, beef cattle and grain farming, log sawmilling and timber dressing, school education, road freight transport, and cafes, restaurants and takeaway food services 18. The main industries neighbouring the forests, include lamb and beef production and cropping. The estate is close to the internationally renowned Coonawarra wine district. Plantation forestry in the form of blue-gum and radiata pine is also a major. Further to the south in areas of higher rainfall, dairy is a major industry. Emerging industries include oil, gas and geothermal power generation. Major population centres in the South-East are Naracoorte, Penola, Mount Gambier and Millicent. The closest deep sea port is located nearby at Portland, Victoria. Neighbours A register of neighbours and contact details that can be obtained will be maintained. Contact will be made with neighbours on behalf of the Forest Owner in accordance with the PF Olsen Australia Stakeholder engagement policy and procedures. 5. Stakeholder engagement and social responsibility Stakeholder engagement system PF Olsen Australia has developed a Stakeholder Engagement System which provides a framework for identifying and engaging with different levels of stakeholders for the FIT Victorian Forest Management Unit df. September 2016 to June 2021 Stakeholder engagement and social responsibility Page 18

19 Objectives Our objectives with stakeholder engagement is to: Build a relationship of trust and partnership with stakeholder interests. Assist in the fair assessment and avoidance, remediation or mitigation of adverse effects upon stakeholders who may have an interest in or be affected by impacts resulting from management decisions. Avoid or minimise the risks of misunderstandings between forest managers and forest stakeholders or the development of obstructive or conflict oriented behaviours between the parties. Engage at appropriate levels with affected and interested stakeholders. Key stakeholders Key stakeholders 19 include, but are not limited to: Major customers Contractors and suppliers Relevant federal government departments Industry representative bodies Conservation groups and advocates Indigenous communities Relevant state government agencies Local government authorities Neighbours Property level lessees (grazing, house tenants) Harvest and haul contractors Local communities and community groups Local fire agencies 19 For the purposes of AFS Clause 2.2 key stakeholders are regarded as affected stakeholders and any other person who engages with the organisation will be regarded as an interested stakeholder. September 2016 to June 2021 Stakeholder engagement and social responsibility Page 19

20 Social impact assessment A key component of successful stakeholder engagement is social impact assessment in relation to our activities. This undertaken by PF Olsen Australia at three levels of management: This plan identifies and considers regional impacts like road use Individual Property Management Plans consider impacts at a local level like landscape impacts Best Practise Management Guidelines consider possible social impacts of particular activities and outline necessary steps to minimise such impacts and ensure affected stakeholders are consulted prior to conducting high impact activities. Local procurement PF Olsen Australia strives to procure contractors and services from within the local region wherever possible and feasible. 6. Indigenous Community Engagement Objective To provide a meaningful framework for: Engagement with recognised Indigenous community representatives in relation to existing legal rights and traditional indigenous uses of forests under management by PF Olsen Australia. Effective engagement with Indigenous communities in the identification and management of heritage sites of cultural significance within forests managed by PF Olsen Australia. Recognising and protecting significant values PF Olsen Australia will: determine the legal status of any existing rights in forests managed on behalf of the forest owner. search relevant government databases and records for identified sites of significance. actively seek to identify existing Indigenous peoples with customary or traditional use rights to forest resources in forests managed on behalf of the forest owner. incorporate the results of consultation into Property Management Plans and relevant operations plans search, identify and manage any known special values prior to operations. September 2016 to June 2021 Indigenous Community Engagement Page 20

21 7. The Regulatory Environment Regulatory considerations In order to minimise the risk to forest owners, managers and contractors, it is important that relevant legislation and agreements are identified and appropriate measures put in place to ensure that breaches of legislation are avoided. Legislation and agreements summarise key regulatory and voluntary controls that currently apply to forest operations are listed in the PF Olsen Australia Legal Register and in property files where there property specific consents and agreements. Relevant laws and their treatment in PF Olsen Australia s are summarised in our Policies and Standards 20. These are available on our website. Land Use Rights / Forest Code of Practice Gippsland and Green Triangle Forests Plantation establishment and management is an as of right use in the farming zone of all shires in Victoria. Planning permits are only required for the establishment of new plantations where an overlay, such as a Wildfire Management Overlay, is in place. Further information on permit requirements can be obtained from planners in the relevant shire. Overlays that relate to individual properties are contained in their individual property management plan. Where properties were established prior to plantation establishment becoming an as of right, details of the planning permit are included in the Property Management Plan. A requirement of plantation development in all shires of Victoria is that the plantation is managed in accordance with The Code of Practice for Timber Production in Victoria Wattle Range Forests Plantation development may require formal consent from the relevant local government authority pursuant to the Development Act, 1993 (SA). Great Southern Plantations obtained the relevant consents for each of the properties in Wattle Range prior to their establishment as required. Affected plantations have been developed in conformance with these requirements. Continued on next page PF Olsen (Aus) Pty Ltd Policies and Standards are publicly available online at September 2016 to June 2021 The Regulatory Environment Page 21

22 continued In addition to planning consent the Natural Resources Management (Commercial Forests) Amendment Act 2011 (SA) requires plantation managers in the Wattle Range to hold water licences with holding allocations that recognise commercial hardwood forestry for recharge offset. The precise requirement depends upon the location of the plantations with respect to underground aquifer recharge zones. Licences are held licences plantations in the Wattle Range Estate. The forest owners are currently working cooperatively with the Department of Environment, Water and Natural Resources with respect to the precise allocation of these licences. 8. Environmental Policy and Practices Introduction Environmental policy and practices are an integral part of every operation that takes place in the forest. Regular monitoring of key environmental parameters will be undertaken where necessary to ensure that the impact on the forest environment from environmental factors is minimised. Such factors include: wind flooding erosion fire pests and disease. The management of the forest recognises the importance of the natural and social environment for the future of its business. The people employed in the forest and processing plants, the neighbouring land owners and the community at large are all recognised as stakeholders. All activities within the FIT Victoria / South Australia Forest Estate are subject to management within a framework set by PF Olsen Australia s environmental policies and Management System. Environmental Policy: PF Olsen Australia is committed to: Sustainable forest and land management Promoting high environmental performance standards that recognise the input from the community in which we operate Continued on next page... September 2016 to June 2021 Environmental Policy and Practices Page 22

23 continued Supporting an environment of continuous improvement in environmental performance Applying the principles and requirements associated with good forest management especially those described within: Principles and Criteria of the Forest Stewardship Council Australian Forestry Standard (AS4708). Substantial additional detailed policies are contained within PF Olsen Australia s Policies and Standards 21. Environmental management goals The Management System implemented by PF Olsen Australia has the following objectives: Achieve a greater understanding and ownership of environmental responsibilities and performance by all PF Olsen Australia s personnel and contractors Complete compliance with environmental legislative requirements and non-legislative environmental commitments of the company Establishment and maintenance of sound working relationships with the relevant governing bodies Establishment and maintenance of sound working relationships with appropriate contractors, neighbours, community groups, infrastructure authorities and other stakeholders which our activities may effect Increase awareness of environmental effects of operations among staff and contractors Use energy effectively and efficiently, and reduce waste and pollution Promote and undertake sound environmental stewardship of land and other natural resources on or adjacent to this land. To achieve the objectives listed above PF Olsen Australia set specific environmental targets against which progress is being measured. These environmental targets are reviewed on an annual basis. The Management System framework The Management System is a core document defining the policies, processes and procedures that govern the physical implementation of forest management activities. The Management System applies a holistic and systematic approach to ensure that prevention of adverse and harmful impacts is effective. Continued on next page PF Olsen (Aus) Pty Ltd Policies and Standards are publicly available online at September 2016 to June 2021 Environmental Policy and Practices Page 23

24 continued Key elements comprising the Management System are: An operational implementation framework that follows the wellrecognised management process of planning, doing, monitoring, reviewing and adjustment. Practicable access to: Processes and procedures Internal and external resources Monitoring and auditing references. Procedures for managing emergency situations. Procedures and resources for managing and minimising the use of chemicals including compliance with FSC policies related to Hazardous Chemicals. Periodic internal and external auditing. Audits are an integral part of the RMS. The purpose of these audits is: To check compliance with agreed procedures. Discuss ways to improve the RMS to better achieve its targets and objectives. The Manager Forest Systems is responsible for ensuring that the Management System is maintained and compliant with AS4801, ISO and ISO 9002 standards. Management System overview Internal audits to ensure compliance with the Management System and to improve the procedures of the Management System are reviewed at least once every two years. September 2016 to June 2021 Environmental Policy and Practices Page 24

25 Hazardous substances management Hazardous substances are any substances, which may cause adverse environmental impacts and/or injury or health problems if incorrectly handled or used. The hazardous materials which may be used on are: Pesticides Fertiliser Fuels Oil Fire retardants Adjuvants. Transportation, storage and labelling of these hazardous materials must all comply with the provisions of PF Olsen Australia s management system which is designed to be compliant to AS4801, ISO14001 and ISO Furthermore, PF Olsen Australia is committed to reducing the use of hazardous substances as much as possible. This involves use of alternative methods for the control of weeds, pests and diseases where these are effective and efficient. The use of fuels and oils is minimised where possible. Fire retardants are only used when required and surfactants are only used to make more efficient use of specific herbicides. If chemicals which are important to successful plantation establishment and management are restricted for use by the Forest Stewardship Council formal applications will be made to obtain permission for their use. Relevant stakeholders will be consulted as a part of this process. 9. Plantation Forest Estate Description Plantation area Land use of the estate, including the net stocked areas have been determined through spatial analysis. These areas are shown in property maps produced by PF Olsen Australia and included in the Property Management Plans. September 2016 to June 2021 Plantation Forest Estate Description Page 25

26 Defined Forest Area Details of the Defined Forest Area for our Forest Stewardship Council and Australian Forestry Standard certificates are describe d in more detail on our website. These area statements are updated each quarter. It is expected that over the period of this management plan the Defined Forest Area will reduce significantly. There are four reasons that the total forest area may be reduced. They may be: Sale of freehold title. Expiry of a lease. Change of defined management purpose. Reversion of planted forest to a previous non-forest use. Details how each of these reasons will be treated are detailed below. Sale of freehold title Once a property is sold then the property is removed from the defined forest area. To enable our certification body to do a year on year comparison the date of sale will be tracked and reported in the annual summary update. This area will not be included in the calculated area of reversion. Expiry of a lease Currently a small percentage of the defined forest area is planted on land that is leased from the owner. The lease expires when the current crop of trees are harvested. Therefore, once the trees are harvested our authority to manage the forest is rescinded and the property will be removed from the defined forest area. As for sales of freehold, the date that the lease expires will be recorded in the annual summary update and reported to our certification body. This area will not be included in the calculated area of reversion. Change of defined management purpose Our current management practice is to re-evaluate the economic viability of each property to meet the defined investment hurdles expected by our clients following the harvest of merchantable plantations. The data recorded from the harvest is used to validate growth predictions and confirm economic models. If we are unable to meet the investment hurdles for the property then we will notify our client that we intend to change the management purpose of the land from plantation forest back to its former land-use. Continued on next page... September 2016 to June 2021 Plantation Forest Estate Description Page 26

27 continued Once this decision has been made it will be clear that our authority to manage the property as a planted forest has be revoked and the certificate label indicating the property is part of the certified area will be removed from the property record in FIPS and the entire property are a will be removed from the defined forest area. The date that the certificate label is removed from the property will be recorded and reported in the annual summary report to our certification body. This area will not be included in the calculated area of reversion. Reversion of planted forest On properties with multi-age plantings, once older age classes plantations are harvested economic models are validated using the recovered harvested volumes. If these models clearly indicate that investment hurdle rates cannot be achieved in a subsequent rotation of plantation forestry this finding will be advised to our clients and we will seek their consent to revert the planted forest to its former agricultural use. Areas reverted under these circumstances will be regarded as forest conversion under current FSC definitions and shall not exceed 0.5% of the area of a Forest Management Unit in any one year and cannot exceed 5% of the area of a Forest Management Unit in total. Areas of younger age classes shall be eligible to be harvested and sold FM certified FSC logs or wood Current plantation species The main plantation species is Tasmanian Blue Gum (Eucalyptus globulus) with small areas of Shining Gum (Eucalyptus nitens) and Pinus radiata. Tasmanian Blue Gum has been chosen to best meet the management objectives, given the characteristics of the forest land as described in Section 3. Re-establishment will involve either coppicing from the existing crop s stumps or replanting with high quality tree stocks suitable for the site and market. These will be investigated during establishment planning. Current crop status Pre-harvest inventory and mid-rotation inventory is undertaken on an ongoing basis, across the estate. Data is stored in our Resource Planning folder and analysed through an Access database. The resource is mapped and stored in PF Olsen s GIS to show the extent and current status of the crop and associated property features. Updates are made on a monthly basis. September 2016 to June 2021 Plantation Forest Estate Description Page 27

28 10. Conservation areas and significant species REGIONAL MANAGEMENT PLAN Introduction Indigenous biodiversity management in or associated with plantations is an essential component of PF Olsen Australia s forest management. Although plantations can provide a level of biodiversity, the areas of native forest are usually the source of most indigenous biodiversity. Rare and threatened species may also be found within planted areas and require special attention for management. This section details protected ecosystems and rare and threatened species found in the. Protected Ecosystems Areas of remnant native vegetation are located throughout the FIT VIC/SA Forest Estate. PF Olsen Australia has a strict exclusion zone policy for areas of remnant native vegetation. This means that areas of remnant native vegetation are not to be damaged or disturbed by forest operation and where possible steps will be taken to enhance the quality of these areas of vegetation by weed management and the exclusion of stock. As a last resort if an existing track through remnant vegetation is required to be upgraded for safe access to or egress from the planted areas, the specific patch of remnant vegetation will be assessed for any high conservation or significant biological diversity values by a relevant expert prior to any work beginning. Records of vegetation condition before and after shall be maintained on file. Areas of protected ecosystems are identified on Property Maps and details of their type, rarity and quality are recorded on in FIPS and on the Property Management Plan. Monitoring of native vegetation is undertaken using a series of permanent photo points and the PF Olsen Australia Bio-physical Natural Assessment methodology 22. Rare and threatened species PF Olsen Australia has engaged independent ecologists to check all properties in the FIT VIC/SA estate for possible rare and threatened species. Continued on next page Knight, R.I. (2013). Rapid assessment method for surveying and mapping biophysical naturalness. A report to PF Olsen Australia Pty Ltd. Natural Resource Planning, Hobart, Tasmania. September 2016 to June 2021 Conservation areas and significant species Page 28

29 continued This process involved checking Commonwealth, State and local government databases, where available, for records of the presence of rare and threatened species, along with ground-truthing where required. As the possible presence of rare and threatened species is identified, they will be listed in the Property Management Plan and management requirements developed. During the management of the plantations our trained staff also record sightings of rare and threatened species that they observe directly or are bought to their attention by other stakeholders. Details of the rare and threatened species sighted within plantations managed by PF Olsen Australia on behalf of the Trust Company are provided separately on our website. High Conservation Values Each property, PF Olsen Australia becomes responsible for, a process is followed to identify high conservation values that may be present. The process involves: Checking government databases for the presence of rare or threatened species or ecosystems and associated ground truthing by suitably qualified professionals 23. Checking government databases for the presence of registered Aboriginal sites and where necessary, the development of Cultural Heritage Management Plans in conjunction with the relevant Aboriginal groups. Identifying properties, or parts of properties that are within Special Water Supply Catchments. Undertake consultation with stakeholders and or experts in regards to the high conservation values identified. Details of the properties with identified High Conservation Values for the properties managed by PF Olsen Australia on behalf of the Trust Company are provided separately on our website. Full details of the methodology, evaluation reports and the values identified are available on request. Management plans have been developed to address each of these values in consultation with appropriate parties. 23 PF Olsen Australia employs professional foresters. However, local external ecologists are engaged to independently assess the member properties and identify any sites with actual or possible High Conservation Value Forests. September 2016 to June 2021 Conservation areas and significant species Page 29

30 11. Non-Timber Forest Products and Other Special Values Introduction Forest plantations may also provide for non-timber forest products that enhance the economic wellbeing of the owner or legitimate forest users. Non-timber products are an important means of maximising the production capacity of the forest whilst maintaining environmental and social values. The forest management plan provides procedures for developing and managing these resources. Forests can also provide many other special values, which are also provided for and managed through the forest management plan. Non-timber forest products The following non-timber products are currently being produced or may be produced or developed in the : building rentals grazing and hay cutting apiary recreation. Building rental A number of properties have houses or sheds that are rented out. Local real estate agents manage the leases of these assets, with PF Olsen Australia responsible for approving maintenance as necessary on the properties. Details of the infrastructure on the properties that are leased out and which Agent is responsible for them is included in the relevant Property Management Plan. Grazing & Hay Cutting Grazing is an effective method of fuel reduction and is conducted (under agreement between the agistee and PF Olsen) throughout the estate area. Grass levels and stocking rates are to be monitored by the agistee and the forest manager. Hay cutting is also used for fuel reduction on unplanted areas. Consideration of other values on a property, such as native vegetation, and the effect that grazing will have on them will be considered prior to agistment being allowed. Apiary Bee-keeping is another potential source of seasonal income. Apiary permits are managed by PF Olsen Australia. September 2016 to June 2021 Non-Timber Forest Products and Other Special Values Page 30

31 Other special values As other special values on the estate are identified, they will be listed on the relevant Property Management Plan and in this section of the Regional Management Plan. Recreational usage The forest is not available to the general public for recreational usage. The landowner may allow particular recreation events at its sole discretion. 12. Commercial Crop Establishment Introduction Crop establishment is a critical sequence of operations that can set up a plantation to achieve its potential. The chosen species has to be suitable for the site and meet the objectives of the. It is also important to ensure that the planting material is of a high quality. Crop species The crop species chosen for establishment in the is Tasmanian Blue Gum (Eucalyptus globulus) and shining gum (Eucalyptus nitens). Tasmanian Blue Gum is endemic to Tasmania and parts of southern Victoria, including the Otway and Strzelecki Ranges. Shining gum is endemic to eastern and southern Victoria and NSW as well as small areas in Tasmania. Shining Gum and Tasmanian Blue Gum are recognised as excellent species for production of high quality pulp that is used in the production of printing papers, due to the whiteness of the wood and short fibre length. Tasmanian Blue Gum has superior pulp yields to Shining Gum. Gippsland Forests Eucalyptus globulus is the preferred species on most sites. Eucalyptus nitens is suited to high quality high rainfall sites where there is a high risk of frost damage to young seedlings. Green Triangle and Wattle Range Forests Eucalyptus globulus has been chosen due to the site characteristics and market requirements. Historically genetic material utilised ranges from wild seed to improved seed stocks. This means that for subsequent rotation of coppice the genetics used will need to be reviewed as part of plantation management. For new plantings, improved seed will be used September 2016 to June 2021 Commercial Crop Establishment Page 31